… proposes 55 kobo dividend
FCMB Group Plc has released its audited
group results for the full-year ended December 31, 2024.
It reported gross revenue of N794.4 billion for the period ended December 2024, a 53.9 period growth from N516.4 billion for the same period prior year.
This was driven by a 75.2 percent growth in interest income and an 8.7 percent growth in non-interest income. The rate of growth in non-interest income was impacted by a
55.7 percent Year-on-Year (YoY) decline in other gains from N89.3 billion to N39.6 billion.
The results at the Nigerian Exchange Limited (NGX) show that FCMB Group net interest income grew by 27.6 percent from N176.6 billion in the prior year, to N225.3 billion at the end of December 2024. Yield on earning assets improved to 16.2 percent, however, Net Interest Margin declined by 1.9 percent Year-on-Year largely driven by a 122 percent growth in funding cost.
The Board of Directors recommended a cash dividend of 55 kobo per issued and paid up ordinary share for the year ended December 31, 2024 (2023:50 kobo). This is subject to approval at the Annual General Meeting.
Operating expenses grew 45.7 percent Year-on-Year to N229.1 billion for the period ended December 2024, due to increased personnel costs, regulatory costs, foreign currency linked expenses (example technology and
foreign subsidiary expenses) and general inflationary pressures. Cost-to-income ratio closed at 59.9 percent for the period ended December 2024.
Read also: FCMB’s gross earnings rise 54% on net trading income
Net impairment loss on financial assets declined 30.7 percent Year-on-Year to N41.2 billion, for the period ended December 2024, from N59.5 billion, which resulted in a decline in cost of risk to 1.8 percent from 3 percent in the previous year.
PBT grew by 7.1 percent Year-on-Year to N111.9 billion, largely impacted by a 56.6 percent decline in revaluation income and the 1.9 percent decline in Net Interest Margin.
The divisions of the Group reported Year-on-Year growth as follows; Consumer Finance: 83.5 percent, Investment Management: 27.9 percent, Banking Group: -7.7 percent (NIM & other gains decline), and Investment Banking: -35 percent (one off exceptional gain on divestment in FY 2023).
Group earnings continue to be diversified with non-bank subsidiaries accounting for over 30 percent of profits.
“The contributions by our divisions were as follows; Banking Group: 69.5 percent, Consumer Finance: 11 percent, Investment Management: 5.8 percent, and Investment Banking: 1.6 percent,” the company said.
Loans and advances grew by 28 percent Year-on-Year from N1.84 trillion to N2.36 trillion at the end of December 2024. Total assets increased by 59.5 percent Year-on-Year from N4.42 trillion to N7.05 trillion at the end of December 2024.
Customer deposits grew by 39.4 percent Year-on-Year from N3.08 trillion to N4.30trillion at the end of December 2024.
Assets Under Management grew by 35 percent Year-on-Year from N1.02 trillion to N1.37 trillion at the end of December 2024.
Investment Banking (advisory and primary debt and equity capital markets) transaction value consummated by the Group grew by 47.1 percent to N1.4 trillion for the period ended December 2024, compared to N945.3 billion in the same period prior year.
